Barratt Developments Share Discussion Threads

[mach100] 30/6/2020 08:00

89 to 96 the bull. Peak was 89 and then falling consistently. Quite a lot of negative equity and repossessions during that period.

[thebull8] 30/6/2020 07:56

Just show me, at any point in human history, when house prices have consistently gone down. I can only think of 2008 and that was only for a year/ year and a half until it corrected itself

[sikhthetech] 29/6/2020 19:26

House prices are too high... currently around 9m staff are supported by the govn furlough scheme..and around 2m have taken out mortgage payment hols..

Both are due to end by Oct and with millions unemployed and a possible rise in mortgage repossessions, where's the support to maintain high house prices?

HBs are supported by the Help to Buy scheme.


Therefore, HBs supported by the govn, furlough staff being supported by the govn.

It can't continue for too much longer..

[rwlly] 29/6/2020 18:14

Taffee is spot on, the only houses that appear to be valued too low, are the ones that nobody would want to live in unless they were desperate.

[salver2] 29/6/2020 16:58

Part of what Taffee says is true but house prices outside various hotspots are not really overvalued - indeed assuming interest rates stay low - and ok we know they can rise! A point could be made that house prices are a tad too low and as for 50 percent lower - 🤡!

[rwlly] 29/6/2020 08:08

Well said taffee.

[taffee] 29/6/2020 06:08

The fact is none of anything makes sense in property because we are in a huge credit bubble which has been propped up with silly props leading to huge social divide and probably unrest

All bubbles end and generally badly

Without all the props houses would be 50% or more cheaper and flats even more

Why would a gov not want younger people to build a stake in society? It's self managing productivity to include the 20s in life.... This is pure madness

[hawaly] 28/6/2020 18:08

abbytwo

Why do you continually post these types of links??

I would never click on anything that is not clearly a legit site.

I would advise others to avoid your links as well.


GLA 😎

[rwlly] 24/6/2020 17:06

Used to be able to build decent houses for 4x earnings, no reason why it cant be done now. It would leave people with more money to spend in the rest of the economy, they might even be able to buy their own car instead of leasing it?

[picklednuts] 23/6/2020 15:17

Are you an idiot? 4x Average wage would be £140k and payments about £750, you been asleep for a decade?

[pugugly] 11/6/2020 20:34

The retreat begins – Sector specific problem (building & construction)or part of the general fall back from the ramp up caused by central banks printing too much money - Remember inflation caused by too much money chasing too few goods - and thanks to general high level of shares across many companies too few equities available to soak up the surplus cash (imo) $64K question - a minor blip or the start of the 2nd down wave?

[taffee] 23/5/2020 09:31

Think it's fair to say the jury is out as to the direction houseprices will take after lockdown

Back to normal or falling prices? after the current economic disaster investors need to consider all angles imo

[gaygay3] 20/5/2020 16:27

Looks like the reason is that first time buyers need 12k more to put down on a deposit 10% mortgage deposits went down from 780 in March to 87

[rwlly] 20/5/2020 12:21

Yes and Japanese stock market is still only just over half of what it got to in 1989,mainly because of overpriced assets, which is now what we have got in the UK.

[arja] 20/5/2020 12:10

building stocks hammered again today for some reason .

[taffee] 20/5/2020 08:32

The only comparison is Japan example where they had to have near zero rates for almost 30 years and still had falling property and stocks for that time... Property appears cheap but the Japanese just believe they can only get cheaper!

Interest rates could be forced to rise...the gov made a terrible error propping markets up.. Now the UK pop believe they will keep doing it forever

What a bizarre colamity of economic policy... Some believe the current hysteria has been fuelled by the belief a debt reset is necessary/inevitable

[rwlly] 19/5/2020 19:39

This is the problem we face, interest rates will have to stay at or near zero forever, because of overpriced assets far too much individual and government debt. Absolutly no insentive for anybody to save for their retirement.

[salver2] 18/5/2020 22:43

4times earnings are you an idiot that would make average house about 98000 - a mortgage on that would for a couple be about 25 quid a week each - I bet you spend more on that a week on cappuccinos at Starbucks!

[arja] 18/5/2020 10:03

yes, building stocks are not the flavour of the month but hoping house prices will not
dip too much as I plan to return to OZ when able to fly there safely !!( smile )

[rwlly] 14/5/2020 12:24

The sooner we can get average house prices back down to 4 times average earnings the better.

[32campomar] 14/5/2020 08:14

I think buyers will be there but they will want prices discounting, that's why builders shares have weakened again I think, possible write downs on housing stock

[taffee] 14/5/2020 07:04

So builders are back in business it seems but will buyers flock to buy their houses when the gov says a big recession is upon us and this year

Or will they have to slash prices.. Time will tell

[mickinvest] 01/5/2020 12:11

Initially our construction activities will prioritise sold plots at advanced stages of construction, and we therefore expect a limited number of additional completions this financial year. As at 26 April 2020, the Group has completed 11,776 homes (2019: 11,723 homes) (including JVs). Our total forward sales are 12,271 homes at a value of £2,852.9m

Couple question on the above

1) Does the cash position include sales from 11,776 homes already completed this calendar year?

They have suspended all land purchases, dividend payments etc and net cash is roughly same as January 1st. Give or take a bit but are we projecting net cash staying same until the end of the year with a full year's landbank depleted?

[rwlly] 24/4/2020 11:49

New builds on an ex pub sight ,not far from me in rural Cheshire. Packed together as near as possible, the main industry around is industrial estate and agriculture. So majority of workers around the area will either be on minimum wage or very little more. Prices starting at five hundred and fifty nine thousand nine hundred pounds, yes we need more houses, but if they cant be built and sold for substantialy less than that there needs to be a public enquiry into the whole sector?